As it happened last time the success Spain has had in the bond market has emboldened the government to push back the official bailout request everyone expects to be made. Spain’s economic situation is not
sustainable, but support from the ECB in the form of the unlimited OMT program makes the sovereign debt attractive to investors that know it is backed by the central bank.
Spain sold 4.76 billion euros of debt on Thursday, including a new five-year bond and its first longer-term issuance since May 2011, in an auction which drew healthy demand.
via CNBC
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Alfonso Esparza
trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
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